Financial advisor says Inflation Reduction Act won’t severely impact inflation
BIRMINGHAM, Ala. (WBRC) - A financial adviser isn’t expecting the Inflation Reduction Act to curb inflation.
The Senate and the House approved the bill and once the president signs, it will go into law.
The Associated Press says economic analyses of the proposal suggests the bill itself won’t bring down inflation, at least in the time being. They add the legislation won’t directly address some of the main price drivers like gas, food, and rent.
Marshall Clay, a senior advisor with The Welch Group says most everyday people probably won’t notice a difference in the prices we pay.
“I think it has theoretically some things that it could do near to longer term as far as subsidies semi-conductor manufacturers,” he said. “Those are things that aren’t going to have any sort of short to near term effect, if any effect on inflation at all.”
That being said, the law could still save money for some Americans by reducing energy prices and prescription prices for the elderly.
The bill will become law once the president signs it. That’s expected to happen this week.
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